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Simon Company's year-end balance sheets follow. For both the current year and one year ago, compute the following ratios: The company's income statements for the
Simon Company's year-end balance sheets follow. For both the current year and one year ago, compute the following ratios: The company's income statements for the current year and one year ago follow. Assume that all sales are on cred (1-a) Compute days' sales uncollected. (1-b) Determine if days' sales uncollected improved or worsened in the current year. (2-a) Compute accounts receivable turnover. (2-b) Determine if accounts receivable turnover ratio improved or worsened in the current year. (3-a) Compute inventory turnover. Compute days' sales in inventory
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